Top 10 Salary Saving Hacks

Vineet Golani

/

How can you save your salary without compromising too much?

Surely salary is an integral part of your life and it must be enjoyed. But at the same time a balance must be maintained between saving and expenses right? That is the reason why we at Equiseed Wealth are here to guide you on the best hacks that you can put to use to save your salary!

Here are some ways to start saving, beginning with some traditional methods.

Savings Account

A savings account involves you keeping your money parked with your respective bank, during which the bank pays you a specific rate of interest. In modern days this rate prevails at an average of 2.1%.

Fixed deposits

Fixed deposits are well renowned for the safety they offer and are the most traditional way to park your money with some banks offering fixed deposits upto a period of 10 years. Fixed deposits usually have a lock in period and attract penalty if they are broken before their due period of time.The average returns we can expect is between 5.5% to 7.5%

Public Provident Fund (PPF)

A public provident fund account is one where

  • Under PPF you can invest a minimum of 500 and maximum of 1,50,000 annually.
  • The interest rate accrued on this amount prevails at 7.10% and is tax free.
  • The original duration of PPF is 15 years which can be extended later on.
  • There is a tax deduction available for PPF under section 80C upto a maximum amount of 1,50,000.

Insurance

There are a wide variety of types of insurance you get on the market these days, but have you ever wondered how well health insurance can safe-gaurd your well being? Securing yourself for Medical Emergencies and unforeseen circumstances may help to save a lot of unexpected expenditure. Selecting the right health insurance plan may often get tricky as there are umpteen number of policies available in the market and you may not know which one is the right one for you. To cater to that Equiseed Wealth offers Health Insurance.

National Pension scheme (NPS)

With the government announcing a tax deduction of Rs 50,000 under the NPS act, we were sure that NPS would rank pretty high on this list. NPS also known as national pension scheme enables you to pre plan for your retirement when you could be as young as 18! All the funds that you contribute to your NPS account are managed by a fund manager which can be selected by you depending on your risk appetite. Whats more is that there is no restrictions on how much you can contribute to this fund every month, you could even start with as low as Rs 500 a month and get tax benefits on it too. NPS can be availed from the age of 18-59 years. One can also choose if he/she wants the repayment in a installment or lumpsum method. Click here to open your NPS Account today.

Gold

The metal that is much loved by the masses over centuries has always been Gold. Gold with its purity always retails at a much higher price than other metals and is a great investment too! The average returns keep on fluctuating however if we plan to hold it for long term, we can also expect a decent return from it. Nowadays you can buy digital gold online starting at Rs 1 with our dedicated portal to Digital Gold. Pure 24k gold guaranteed, invest at anytime! Start building your fortune today! Buy Digital Gold !!!

Want more investment and salary saving avenues? We have you covered!

Mutual funds

Everyone is talking about mutual funds these days, with how safe they are and offer good returns they should be on your radar to maximise your returns for the long term. Mutual funds these days have become the modern FD with good returns and a wide portfolio of asset class such as: Equity, Debt and hybrid funds to choose from. What’s more you can also choose your fund as per your risk appetite. Mutual funds can be liquid too depending on your requirements. Y ou can invest a lumpsum amount or do a monthly SIP with small portion from your salary.

Getting rid of your existing debt

A debt acts as a financial burden and it is always best to clear it out at the earliest possible as it eats into your salary by demanding monthly installments. Once your debt has successfully been paid off, you can put your salary to much better use.

Creating an Emergency fund

Emergencies always can come to one at an unknown time. It is the right thing to be financially sound and create a back-up for such uncertainties in life. Hence we recommend creating an emergency fund for you and your loved ones to remain at peace during such happenings.

An Emergency fund could be done by investing in liquid mutual funds or creating a Short Term Fixed deposit account with all your money contributed in it towards an emergency. What's more it will also give you a decent return on your investment.

We at Equiseed have for you, a Wealth plan which can provide for your child’s future right from their birth to their education and even upto your retirement. Get a Customised Wealth Plan from our team today!

Paying your bills on time

This is very essential as usually paying bills late means attracting a late fee which can range from your credit card bills to your electricity bills. The best solution to this is automating your bills to your bank account to avoid further late charges.

Systematic Investment Plan (SIP)

A systematic Investment Plan comes in handy when one does not want to invest in a stock or commodity in a lumpsum manner. Systematic Investment plans are offered by most banks nowadays and you can easily enroll for one by going to your depository participant or by enrolling for one on their dedicated website.

How a SIP works is that you can choose between the amount and quantity of shares that can be purchased on a monthly basis without you requiring to actually take action. The transaction is automated and is carried out on a monthly basis and you can even select the period for which this is carried out.

Confused about how to calculate how much you want to invest in SIP’s? Calculate your investments and returns too using our Advanced Tax Calculator

We hope these hacks will help you save a part of your salary every month and help you be Financially Independent.

Salary saving is a very crucial aspect in today’s world. A moderate amount of salary invested in a safe source in continuity will always make a huge difference. We hope that these pointers that we have listed after our research will enable you to make the most out of your salary in hand.